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Defective street lights lead to a breach of contract claim

On Behalf of | May 16, 2019 | Commercial Litigation |

When business owners in Louisiana and elsewhere purchase products from another entity, they generally expect each product received to work as intended. Should their purchases prove faulty or defective, they may also prove costly to replace and the resulting financial burden could leave owners preparing to pursue restitution for their losses. A public lighting authority in another state has recently filed a breach of contract lawsuit against an electronics company after nearly 20,000 streetlights began burning out prematurely.

According to reports, the public lighting authority purchased the street lights from Leotek Electronics in 2016. Although initially told that the lights would last at least 10 years, the lighting authority claims that as many as 20,000 lights started to dim or burn out after only two years. After informing the company of the issue, officials within the lighting authority say Leotek promised to provide a schedule for replacing the defective products within an agreed-upon period of time.

However, the public lighting authority states that the deadline for providing this schedule has already passed. It also asserts that the estimated cost for replacing all the faulty lights could reach amounts of $9 million. The public lighting authority has since filed a lawsuit accusing Leotek of breach of contract and warranty.

Upon encountering a potential breach of contract, business owners in Louisiana may wish to begin taking steps to protect their financial futures, but the process can be complex. Fortunately, there are attorneys who can provide a person with much-needed advice on all the available options with which to proceed. An attorney can work toward protecting a client’s legal rights and assist him or her in seeking the restitution entitled through the necessary channels.